FACILITATING INTRA-OIC TRADE:
Improving the Efficiency of the Customs Procedures in the OIC Member States
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The RKC and the WTO Trade Facilitation Agreement have common features as well as
differences. With regards to differences, it is worth noting that, the latter is more simple
and clear. Furthermore, its second section envisages support to the developing countries
and LDCs to implement the Capacity C commitments. Lastly, the strong dispute
settlement system within the WTO will be an important factor for encouraging the
acceding countries to implement the provisions of the WTO Trade Facilitation
Agreement. On the other hand, the provisions of the articles in the first section of WTO
Trade Facilitation Agreement are almost similar with the General Annex of the RKC.
Based on the RKC and WTO Trade Facilitation Agreement, following principles shall
be adopted by the countries to reform their customs formalities with a view to facilitate
international trade.
 Increasing Transparency and Predictability,
 Implementing Modernized Procedures and Formalities,
 Use of Information and Communication Technology,
 Cooperation among the various domestic and international stakeholders,
2.2.2. Increasing Transparency and Predictability
-Publication of Relevant Information in a Timely Manner
In international trade predictability is very important for the traders. The traders need to
know, among others the customs duties, formalities, cost and the time required for each
commercial transaction. Where laws and regulations about import, export and transit of
goods are not made readily available and easily accessible, people trying to complete
Customs formalities will face difficulties in complying with these regulations (UNECE
2012). To meet these needs, the Customs Administrations shall provide up to date
information on all these issues to the importers, exporters and other parties. The Chapter
9 of the General Annex of RKC highlights how the Customs shall supply information,
decisions and rulings. The Chapter also states that the relevant information shall be
available in advance if there will be amendment to the existing laws, administrative
arrangements or requirements. According to Chapter 9.3, the parties of the RKC shall
also use information technology to enhance the provision of the information.
The content of the information to be provided by the Customs is not defined specifically
by the RKC. However there are other reference documents which explain these
information in more detail. For example, the WCO recommendation on use of the
worldwide web provides a useful reference point for the type of information to be made
available on the internet, including the use of a least one international language
(UNECE 2012). The importance of internet for publishing such information is
recognized by many countries. However, only some of the countries are using the
internet efficiently for supplying the relevant information. For example, Singapore